Introducing the Canada Community-Building Fund

March 29, 2021

The federal Gas Tax Fund will soon have a new name.

As part of its proposed Bill C-25, the federal government last week announced that it will change the name of the federal Gas Tax Fund to the Canada Community-Building Fund.

This is a welcome change, as the current title reflects neither what the federal Gas Tax Fund does nor its source of funds.

Funding for the federal Gas Tax Fund originally came from revenues raised by the federal gasoline excise tax.

Since 2011, funding is set by legislation and sourced from the Consolidated Revenue Fund. And unlike the provincial gas tax – eligible for transit projects only – there is no direct link between the federal Gas Tax Fund and the gasoline excise tax.

The change is in the name only, as the Canada Community-Building Fund will continue to deliver the same predictable and flexible funding for infrastructure according to our existing municipal funding agreements.

An image of a construction vehicle.


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